as a trader, who knows PAC Investment strategy, I'm not agree with part of ur idea.
IMO, PAC investment did a good IPO in higher price of 35c for getting 26M options, which will be expired in 2020. if you read annual report in details, you will figure out fair price of those option is close to 18c.
PAC Investors also sold close to 1.7M shares by Philip capital and bell potter as main brokers of them in average of 34c.
why B2Y wants PAC to raise IPO in that much higher price?
firstly, main investors of B2Y can melt more shares to other investors ( my research shows that they sold 31 M shares, which 10M of them bought by xcoal through BNP broker, 11 M by Wilson broker and 6 M by financial exc.)
secondly, they could do CR by higher price like what they did, $10M in high 30c.
so why SP comes down from 30c to 16c? IMO, they are retailers investors who got shares in 13c and big boys don't wanna give them much more profits. As what broker data shows that after CR, Wilson broker along with UBS dumped 1.6M shares in average of 23c and forced SP to stay in low 20c and after releasing escrow shares, we saw huge fall on SP from 20c to 16c.
IMO, by releasing those 45 M shares in mid Dec, under 13c could be on card.
I bought my small first parcel in 20.5c and I added 200k shares in 16c today and will add more if SP hit 13c.
IMO, this is also very early to speak about B2Y performance and I'll give these guys one or two years to see what they are doing.
B2Y Price at posting:
16.5¢ Sentiment: None Disclosure: Held
